What to know:
- Bitcoin traded near $64,375, holding above its 50-day moving average.
- Analyst Ted highlighted Bitcoin’s widest gap with the S&P 500 in years, signaling a potential “catch-up trade.”
- Spot Bitcoin ETFs saw $211.49M in inflows as derivatives and on-chain activity remained steady.
Bitcoin price is holding steady around an important technical level as market participants evaluate an unusual divergence between the cryptocurrency and the U.S. stock market.
At press time, Bitcoin is trading at $64,375.57, up 0.42% over the past 24 hours. This modest gain comes after analyst Ted pointed out that Bitcoin’s divergence from the S&P 500 is at its widest point in many years.
Also Read: Bitcoin Price Outlook Stays Cautious With $60,000 Support in Focus
Why Is Bitcoin Price Diverging From S&P 500 Moves?
Market analyst Ted wrote in an X post that “Largest divergence between S&P 500 and $BTC in years.” He added that “A catch-up trade will happen at some point.” In a later post, he said Bitcoin was still hovering around $64,000 while both Nasdaq and S&P 500 futures were higher and the U.S. Dollar Index (DXY) was declining.
The comments are significant because Bitcoin has historically shown periods of correlation with risk assets. A weaker U.S. dollar and stronger equity futures have often supported sentiment toward risk assets, although they do not guarantee higher Bitcoin prices.
What Does the Bitcoin Price Chart Signal?
The TradingView daily chart shows Bitcoin trading above its 50-day moving average at $63,292, suggesting that buyers are willing to defend the short-term support level. At the same time, the price is still trading below the 200-day moving average at $70,696, which shows that the broader trend remains bearish.
The MACD histogram has flattened significantly, suggesting selling pressure is diminishing. A sustained move above $68,100 could strengthen bullish momentum, while a break below $63,300 would weaken the current bullish setup.
Also Read: Bitcoin Price Remains at $63K as Open Interest Stays High Despite Market Weakness
Why Are ETF Flows and Derivatives Supporting Bitcoin Price?
Institutional interest remains steady despite Bitcoin’s sideways price action. According to the data from SoSoValue, Spot Bitcoin ETFs reported $211.49 million in daily net inflows, bringing total assets to $78.26 billion, indicating that investors continue to increase their exposure during this consolidation phase.
CoinGlass data shows that Bitcoin open interest has remained at around $48–49 billion, while liquidation activity has decreased compared with the spikes seen in June.
According to DeFiLlama, total value locked (TVL), active addresses, and transaction activity have all remained stable, showing that network participation has stayed resilient during Bitcoin’s consolidation.
What Should Bitcoin Price Traders Watch Next?
Bitcoin is approaching a decisive technical zone where the next move could set the tone for short-term market sentiment. A sustained break above the $68,100 resistance level would strengthen the bullish case, while holding the 50-day moving average near $63,292 remains essential to preserve the current recovery attempt.
Beyond the chart, traders should watch whether spot Bitcoin ETF inflows continue to remain positive and whether open interest stays elevated without a sharp rise in liquidations, as both would signal continued market participation.
The direction of the U.S. Dollar Index and U.S. equity futures may also remain important macro indicators, particularly as investors assess whether the gap between Bitcoin and the S&P 500 begins to narrow in the sessions ahead.
Also Read: Bitcoin Price Eyes Higher Levels as $80.94M Whale Buy Sparks Optimism
This article contains market analysis and price predictions. These are not guarantees. Crypto markets are volatile. Always DYOR. Not financial advice.
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